Wienerberger to Acquire Columbus Brick
Columbus Brick sells its brick in more than 18 states, with Mississippi, Louisiana and Alabama being the main markets.
Wienerberger AG has signed an agreement to acquire Columbus Brick Co. through its wholly owned subsidiary General Shale. Columbus Brick is a manufacturer of facing brick headquartered in Columbus, Miss. The company operates two brick plants at its location with a total annual capacity of 140 million brick units. The product portfolio ranges from modular and queen-size brick in various colors for residential and commercial applications to paper-cut brick, an exclusive, premium product line.
“The acquisition is a fantastic opportunity to geographically expand our U.S. brick business,” said Heimo Scheuch, CEO of Wienerberger. “It gives us an increased presence in Mississippi and Louisiana, states with a high level of brick wall share. Columbus Brick is a company with a long track record, a well-established brand as well as a highly reputed and experienced management team. The company has invested in its production lines over the past years. They have a strong and well-balanced product portfolio. Especially the paper-cut brick, a very specifically textured brick, will enhance our existing product portfolio. Through this acquisition in North America, which is a perfect fit for our strategy of growing our local activities, our strong American management team will soon be able to generate synergies in distribution and administration and quickly integrate Columbus Brick into our existing business.”
Columbus Brick sells its brick in more than 18 states, with Mississippi, Louisiana and Alabama being the main markets. With 75 employees, the company generated revenues of roughly $23 million in 2016.
Wienerberger will finance the acquisition with funds allocated for growth and portfolio optimization. As of the date of closure, the transaction will result in a positive contribution to earnings. The purchase price was not disclosed.